This document discusses ethics in business and information technology. It defines ethics as a set of beliefs about right and wrong behavior based on generally accepted social norms and values. It emphasizes the importance of fostering good business ethics to gain community goodwill, operate consistently, protect the organization from legal issues, and avoid unfavorable publicity. It recommends appointing an ethics officer, establishing an ethics code developed with employee input, and including ethical criteria in performance evaluations. It also outlines seven steps for ethical decision making.

1. Ethics in Information Technology, Second Edition 1
What is Ethics?
• Moral code
– Set of rules
– Establishes boundaries of generally accepted
behavior
– Different rules often have contradictions
• Morality
– Social conventions about right and wrong
– Widely shared
Book Page 3

2. Ethics in Information Technology, Second Edition 2
Definition of Ethics
• Ethics - set of beliefs about right and wrong behavior
• Ethical behavior conforms to generally accepted
social norms
• Virtues - Habits that incline people to do what is
acceptable
• Vices - Habits of unacceptable behavior
• Value system - Scheme of moral values
Book Page 3-4

3. Ethics in Information Technology, Second Edition 3
Why Fostering Good Business Ethics Is
Important
Note: Slide on each item follows
1. To gain the goodwill of the community
2. To create an organization that operates
consistently
3. To produce good business
4. To protect the organization and its employees from
legal action
5. To avoid unfavorable publicity
Book Page 8

4. Ethics in Information Technology, Second Edition 4
Appointing a Corporate Ethics Officer
• Corporate ethics definition includes
– Ethical conduct
– Legal compliance
– Corporate social responsibility
• Corporate ethics officer
– Is a senior-level manager
– Provides vision and direction in the area of business
conduct
– Tries to establish an environment that encourages
ethical decision making
Book Page 11

5. Ethics in Information Technology, Second Edition 5
Ethical Standards Set by Board of
Directors
• Board responsible for supervising management
team
• Directors of company are expected to
– Conduct themselves according to the highest
standards of personal and professional integrity
– Set standard for company-wide ethical conduct
– Ensure compliance with laws and regulations
Book Page 11-12

6. Ethics in Information Technology, Second Edition 6
Establishing a Corporate Code of
Ethics
• Code of ethics:
– Highlights an organization’s key ethical issues
– Identifies overarching values and principles important
to an organization
– Focuses employees on areas of ethical risk
– Cannot gain company-wide acceptance unless
• Developed with employee participation
• Fully endorsed by organization’s leadership
– Must continually be applied to company’s decision
making
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7. Ethics in Information Technology, Second Edition 7
Including Ethical Criteria in Employee
Appraisals
• Some companies base a portion of employee
performance evaluations on:
– Treating others fairly and with respect
– Operating effectively in a multicultural environment
– Accepting personal accountability
– Continually developing themselves and others
– Operating openly and honestly with suppliers,
customers, and other employees
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8. Ethics in Information Technology, Second Edition 8
When Good Ethics Result in Short-
Term Losses
• Operating ethically does not always guarantee
business success
• Organizations that operate outside the United States
– Deal with a “business as usual” climate
– Are placed at a significant competitive disadvantage
• Hope good ethics will prove to be good business in
the long term
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9. Ethics in Information Technology, Second Edition 9
Creating an Ethical Work
Environment
• Good employees sometimes make bad ethical
choices
• May be encouraged to do “whatever it takes” to get
the job done
• Employees must have a knowledgeable and potent
resource available to discuss perceived unethical
practices
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10. Ethics in Information Technology, Second Edition 10
7 Steps to Ethical Decision Making
1. Get the facts
2. Identify stakeholders and their positions
3. Consider the consequences of a decision
4. Weigh various guidelines and principles
5. Develop and evaluate options
6. Review a decision
7. Evaluate the results of a decision
Book Page 17

11. Ethics in Information Technology, Second Edition 11
Ethics in Information Technology
• Public concern about the ethical use of information
technology includes:
– E-mail and Internet access monitoring
– Peer-to-peer networks violation of copyright
– Unsolicited e-mail
– Hackers and identify theft
– Plagiarism
– Cookies and spyware
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